India’s only digital-native insurer, ACKO has announced having raised a round of funding led by Munich Re Ventures, with participation from existing investors Amazon, RPS Ventures and Intact Ventures Inc., which is the corporate venture arm of Canada’s largest property & casualty insurer. ACKO plans to use the funds to accelerate its growth in existing lines and expansion into new product lines.
Founded by Varun Dua and Ruchi Dee=-0uye``12pak in 2016, ACKO is India’s first and only digital-native insurance company. By having a direct relationship with the customer, ACKO aims to fundamentally change how a new generation of consumers interact with and experience insurance. ACKO provides frictionless insurance to the ‘digitally savvy’ through an intuitive purchase experience, zero-paperwork and stress-free claims process. It has issued over 650 Mn policies to over 60 Mn unique customers to date.
ACKO’s differentiated go-to-market approach for auto insurance has inherent advantages over traditional channels. ACKO addresses insurance needs through data-based personalised pricing and instant claim verification and settlement. It recently partnered with Amazon Pay for distributing two and four-wheeler insurance.
ACKO’s employee health plan is a first-of-its-kind in India, combining the benefits of insurance, primary care and wellness, has witnessed strong appeal from employers, scaling to 150K+ insured employees within just six months of launch. ACKO also continues to be a market leader in contextual bite-sized insurance products in partnership with 20+ leading players in the internet ecosystem such as Amazon, Ola, redBus, Zomato and UrbanClap.
Recently the company announced its IPL partnership with Delhi Capitals to drive large scale brand awareness by engaging with a vast consumer base at the biggest cricketing league in the world.
“Munich Re has been a strategic partner to ACKO since inception and we are really excited to bring them on board as our investor. As one of the largest reinsurance companies globally, their investment shows confidence in our data and technology-driven business model. This confidence is further reinforced by the continued support of our existing investors, Amazon, Intact and RPS Ventures.” said Varun Dua, Founder and CEO, ACKO. “We are happy to have mission-aligned investors who are also helping us with global expertise in insurance and technology,” he added.
Munich Re Ventures, founded in 2015 and headquartered in San Francisco, has made 30 investments in insurtech and new technology companies globally. “We’re excited to join forces with one of the leading digital insurers in India, as well as other investment partners, to help support Varun and his impressive team as they continue their journey,” said Oshri Kaplan, Director, Munich Re Ventures. “As Munich Re Ventures’ first investment in India, we look forward to the positive impact that digitally native insurance solutions will have on the country with Acko leading the way.”
“Since our first investment in ACKO which was made last year, it has scaled quickly to become the leading digital insurer in India by leveraging data and technology to create a unique customer-centric experience,” said Karim Hirji, SVP & Managing Director of Intact Ventures. “We invest in companies that are redefining the future of insurance, and are excited to continue on this journey with ACKO by participating in this funding round.”
Amazon continues to back ACKO with a follow-on investment in this round.